What are the steps involved in forming a limited liability company (LLC) in Ohio, and how can a lawyer assist with the process?
To form a limited liability company (LLC) in Ohio, there are several steps that must be taken:
- Choose a name for the company: Before filing any paperwork, you must choose a name for your LLC that is unique and not already in use by another Ohio LLC or corporation. You can check name availability using the Ohio Secretary of State's business search tool.
- File Articles of Organization: To legally create an LLC in Ohio, you must file Articles of Organization with the Ohio Secretary of State's office. The Articles of Organization must include the name of the LLC, the name and address of the LLC's registered agent, and the names and addresses of the LLC's members.
- Obtain an EIN: All LLCs must obtain an Employer Identification Number (EIN) from the Internal Revenue Service (IRS). This number is used for tax purposes.
- Draft an Operating Agreement: Although not required by Ohio law, it is highly recommended that LLCs have an Operating Agreement. This is a legal document that outlines how the LLC will be run and managed, and helps to prevent disputes among members.
- Register for State Taxes: LLCs in Ohio are subject to state taxes such as sales tax, employer withholding tax, and commercial activity tax. You must register for these taxes with the Ohio Department of Taxation.
- Obtain Licenses and Permits: Depending on the nature of your business, you may need to obtain additional licenses or permits from the state or local government.
A lawyer can assist with the LLC formation process in several ways:
- Provide guidance on the appropriate legal structure for your business: An attorney can help you understand the differences between an LLC, corporation, and other legal structures, and can advise you as to which structure is best suited for your business.
- Draft and review legal documents: A lawyer can draft an Operating Agreement for your LLC, review lease agreements and other legal documents, and ensure that all necessary paperwork is properly filed with the state.
- Provide legal representation: If disputes arise among LLC members or with third parties, an attorney can provide legal representation and help protect your interests.
It is important to note that this advice is intended for general informational purposes only and should not be relied upon as a substitute for legal advice from a licensed attorney. Additionally, there may be additional steps required to form an LLC depending on the nature of your business and its location. It is important to consult with an attorney for specific legal advice tailored to your individual circumstances.